The Impact of Integrated Pest Management Technology on Insecticide Use in Soybean Farming in Java, Indonesia: Two Models of Demand for Insecticides

This study aims to estimate the demand for insecticides in soybean farms in Java, Indonesia, and to analyze the impact of the integrated pest management (IPM) technology on insecticide use. It uses aggregate cross-section time series data during the period 1990-1998, when the IPM technology was disseminated in Indonesia. By using recursive and simultaneous equation models, it estimates the impact of the IPM technology on the demand for insecticides. The study finds that the IPM technology has reduced significantly the use of insecticides in soybean farming.

INTEGRATED DESEASE MANAGEMENT FOR CHILI FARMING IN BREBES AND MAGELANG - CENTRAL JAVA: SOCIAL ECONOMIC IMPACTS

This study aims to analyze the impact of an integrated disease management (IDM) on chilli. Chili disease control technologies that include crop barrier with corn and Crotalaria, and compost tea have been introduced to farmers in Magelang and Brebes. A qualitative approach was used to assess and estimate the socio-economic impact of agricultural research. The study was conducted in 2011. The results showed that based on land use chili, the net economic benefits generated was relatively low. There were only a few farmers who have adopted the technology on chili peppers. Furthermore, the survey also illustrates that three years after its introduction in 2007 the technology status at farm level was just at consciousness phase. Learning of this fact, a thorough evaluation of the technology on chili pepper should be done immediately. Research institutions which have developed the technology should encourage bottom-up initiatives and build a shared commitment to complete the implementation of a clear strategic plan. The adoption of the strategic plan should include the integration of research activities with promotional activities for example by revitalizing participatory approaches to awareness of farmers

Marketing channels of chili: players, levels, and segmentations

Chili production is an essential commodity in Indonesia, and the marketing issues frequently disrupt the economy. This paper aims to analyze the distribution channel of chili and formulate a suitable policy to overcome the marketing problems. A market survey was qualitatively conducted at a producer, intermediary, wholesaler, and retailer levels. The results were descriptively presented using tables and figures. The analysis shows that the marketing channel of chili in Indonesia was long and complicated. Many players were starting at the village level to the provincial level. Segmented markets were based on the types of chili, which were categorized as local and hybrid cultivars. Farmers selected the marketing channels because of business circumstance and their farm location. Distance and gentleman agreement with traders limited farmers to select the marketing channel. Thus, the government is strongly recommended to provide a unique vegetable market such as an agribusiness terminal close to the center of production. This action will shorten the marketing chain such that both producers and consumers gain the benefits. The role of the private sector will be crucial in order to keep healthy agribusiness

ENVIRONMENTALLY ADJUSTED PRODUCTIVITY GROWTH OF INDONESIAN RICE PRODUCTION

Productivity of Indonesian rice agriculture needs to grow substantially to ensure national food security. However, the environmental cost should be taken into account. This study aims to analyse productivity growth of rice by decomposing it into technological change, scale effects, allocative efficiency and technical efficiency. Environmental cost associated with the use of environmentally detrimental inputs is internalised to obtain environmentally adjusted productivity growth. The result indicates that total factor productivity growth is driven by technological change and social efficiency effects. Environmentally adjusted productivity growth is less than conventional productivity growth. Some policies to increase the environmentally adjusted productivity growth are proposed.

PENERAPAN ILMU EKONOMI DALAM PENGELOLAAN LINGKUNGAN HIDUP DAN PENGENDALIAN PENCEMARAN LINGKUNGAN

Environmental pollution is inevitably caused by economic activities. However, the pollution can be controlled to obtain optimal pollution that provides maximum net benefit of the economic activities. Indentification of the polluters is needed when the optimal pollution is determined. Economic instruments can be used to insist the polluters to control their economic activities. Selection of economic instruments that will be applied will work properly if the value of environmental pollution is well known. In fact, the pollution is not marketable, and therefore, economic valuation of the pollution is required. Some techniques of valuation have been introduced, based on the types of pollution. Shortly speaking, economics can be applied in controlling pollution resulting from economic activities

AGRO-ECOLOGICAL AND SOCIO-ECONOMIC ASPECTS OF CROP PROTECTION IN CHILI-BASED AGRIBUSINESS IN CENTRAL JAVA

The purpose of this study is to analyze the socio-economic and agro-ecological aspects of chili production in three selected communities of three districts —Magelang, Brebes, and Rembang—that represent distinct agro-ecosystems of chili cultivation within Central Java province. This is to answer a problem statement that chili farming still faces crop protection aspects as limiting factors in chili production. This study uses quantitative descriptive methods. Data were compiled from a survey of 160 chili farmers in 2010-2011. The results show that yield loss due to pests and diseases was considerable, and some of these problems were becoming difficult to control. The three top pests were thrips, mites, and whitefly; and the top three diseases were Anthracnose, Gemini-viruses, and Phytophthora. During the wet season, risk of anthracnose was very high; in the dry season, risk of yield lost to Gemini-viruses and Phytophthora was high. The potential losses could reach 100%. There is a crucial need to solve the problems by enhancing farmers’ knowledge and involving research institutions focusing on crop protection strategy

KONTRIBUSI TEKNOLOGI PENGENDALIAN HAMA TERPADU PADA PENURUNAN PENGGUNAAN PESTISIDA: KASUS PRODUKSI PADI DI YOGYAKARTA

The objective of this study is to examine the contribution of integtated pest management technology to significant decrease in use of pesticides in rice production.  This study was conducted in Yogyakarta, where the technology has been intensively disseminated through farmer’s field school. Aggregate data shows that the use of pesticides declines significantly after the introduction of the technology.  A constant elasticity of input demand model was employed in this study. The results of the study show that IPM technologi was increasingly disseminated during 1989-1998. At the same period, pesticide use declined significantly. The decrease in pesticide use was affected by the increase dissemination of IPM technology and the increase in relative price of pesticides

Exemption of Fiscal Exit Tax: Its Impact on International Flights and Tax Revenue

Fiscal tariff is considered as personal income tax, collected in advance when adult people who have been staying in Indonesia for more than 183 days go overseas. The magnitude of tariff was sometime much greater than the airfare itself, particularly for International flight to ASEAN member countries. This study aims to measure the impact of elimination of fiscal tariff applied to International flight passenger departing from Indonesia. Potential loss in government revenue from income tax and number of International passengers were analyzed. This study used descriptive and econometric methods. Annual and monthly time series data were collected for publication of the Indonesian Statistical Agency and Central Bank of Indonesia during the periods 2008-2012. The results show that the elimination of fiscal tariff did not affect the government revenue resulting from personal income tax. The impact of tariff elimination was to increase the rate in number of passengers going overseas